Statistics show that the numbers of bankruptcy cases that have been filed within the past several years have been on the increase. It is simple to see why more and more people are finding themselves in situations of financial distress, the economic conditions have rarely lined up in this way before. The Bankruptcy Avon IN statistics certainly are in line with the rest of the country in this regard.
Just at a time when corporate downsizing and job losses were at a record high rate, the housing bubble burst, leaving many homes with mortgages that were much larger than the new, devalued amount of the house value.
This double whammy of economic bad news has meant that a huge number of hard working and responsible families were forced into financial insolvency due to the economic climate that had drained them of the equity in their homes, just as it had robbed them of their incomes.
Filing for Chapter 13 Bankruptcy Avon IN is one way that debtors can put a stop to the constant harassment they are receiving from the creditors to whom they owe money. Under the Chapter 13 version of bankruptcy, the person who is in debt and struggling is able to restructure the payment plans they are using and make a fresh start at paying on all of their debt with the goal of becoming current and being able to catch up. One element of a Chapter 13 filing will include the forecast of an income that can support this repayment plan.
If a debtor chooses Chapter 7 Bankruptcy Avon IN, they are choosing the type of case where they can discharge all of their unsecured debts and get a clean slate so that they can begin to rebuild their credit history without all of the debt that is currently overwhelming them.
Either choice of a Bankruptcy Avon IN case can stop the constant telephone calls and the mail that debtors begin to receive when first their bills get into arrears. The mere filing of a case means that the debtor will receive peace from the creditors and a chance to get their life organized and back on track, without the pressure of the collection calls and letters.
